Low-Income Housing Tax Credits & Cost Containment in Nevada, 2018

The 2018 Nevada Qualified Allocation Plan (QAP) incentivizes cost containing measures. Points will be granted to the projects that are most tax-efficient depending on the area in which they are located. 

Cost Containment

Project Cap: The Division will cap the total amount of Tax Credits to any one Applicant at $1,000,000. An Applicant may submit more than one (1) Project application under the 2018 QAP; however, the Division will not award more than $1,000,000 in Tax Credits (the “Maximum Allocation”) to any one Applicant, whether they are applying solely for their own project or are a party to multiple project applications. For the purposes of the Maximum Allocation, the term “Applicant” includes the Applicant, Co-Applicant, and any affiliate of the Applicant or any Co-Applicant.

Project is anticipated to most efficiently use tax credit resources as measured by multiplying 1.5 persons per bedroom x # of bedrooms (1.0 person per studio); and dividing the total number of people into the amount of tax credits requested. The project with the lowest amount of tax credits per person receives 4 points; the second lowest receives 2 points. The 4/2 points is available to only two projects each in the regions of Clark County, Washoe County and Other counties

Acquisition/Rehab Projects in Clark County:

Acquisition/rehab projects (All Projects)

$120,000 or lower - 8 preference points

$120,001-$125,000 - 6 preference points

$125,001-$130,000 - 4 preference points

$130,001-$140,000 - 1 preference point

Acquisition/Rehab in Washoe and all other counties

$140,000 or lower - 8 preference points

$140,001-$145,000 - 6 preference points

$145,001-$150,000 - 4 preference points

$150,001-$160,000 - 1 preference point

*Projects allocated credits in 2018 and winning low production cost efficiency points in Section 14.3.10 and/or B above will only be eligible to receive Additional Tax Credits up to 6% of the original Tax Credit Allocation.

C. Project includes the acquisition/rehabilitation of a foreclosed, vacant, or abandoned building, or the reuse/conversion of an existing non-residential building. Awarded to any eligible project – 2 points

RESERVED

E. Project includes the preservation of existing LIHTC units—excluding USDARD Projects – 2 points

Contributed By: 
National Housing Trust

Other Items of Interest